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Daily Technical Report

December 04, 2012

Sensex (19305) / NIFTY (5871)
Yesterday, the week began on a quite note post the strong rally in the previous few sessions. Markets opening flat and traded in a narrow range throughtout the day. During yesterday’s session, the Realty, Metal and Power sectors traded in the green whereas Banking, FMCG and Teck counters remained slightly under pressure. The advance to decline ratio was strongly in favor of advancing counters (A=1677 D=1246) (Source –www.bseindia.com).

Exhibit 1: Nifty Daily Chart

Formation
 The ’20-day EMA’ and the ’20-week EMA’ are placed at 18702 / 5687 and 18281/ 5552 levels, respectively. On the weekly chart, we are witnessing a breakout from ‘Downward Sloping Trend Line’ joining two significant swing high of 19811 / 5944 (April 2011) and 19137 / 5815 (Oct 2012) at 19050 / 5800 level. The target of the daily ‘Channel’ pattern breakout comes around 19500 / 5950 level. The weekly ‘Stochastic’ and the ‘RSI’ oscillators are now signaling a positive crossover.
Source: Falcon:

Trading strategy:
Friday’s strong closing was followed by a quiet session in our market. It was quiet evident to have such a sideways movement in prices after a sharp rally of nearly 4.50% in three consecutive sessions. However, individual mid—cap counters continued to outperform the benchmark indices. During the day, the Nifty was unable to traverse the psychological level of 5900 and eventually closed well below that level. Going forward, a sustainable move beyond 19417 / 5900 mark would push the indices higher to test immediate resistance level of 19812 / 5945. On the flipside, the daily chart now depicts a price pattern which resembles a ‘Spinning Top’. An occurrence of this pattern after a decent up move indicates a short term breather, in the form of a consolidation or minor corrective move. However, this pattern requires a confirmation in the form of closing below the low of the candle, which is at 19257 / 5854. Thus, in this scenario, we may witness a minor correction in the prices towards the support level of 19000 / 5800.

Actionable points:
View for the day Resistance Level Support Levels Neutral 5920 5854 – 5800

The underlying trend remains positive and we advise traders to adopt stock specific approach (especially mid-cap counters), which may fetch good returns in coming trading sessions.

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Daily Technical Report
December 04, 2012

Bank Nifty Outlook - (12104)
Yesterday, Bank Nifty opened on a flat note and traded in a narrow range throughout the session. We have been mentioning in our previous reports that the momentum oscillators are placed in overbought zone and a minor pullback or consolidation in the index cannot be ruled out. At this juncture, we are witnessing a “Bearish Harami” candlestick pattern on the daily chart. The mentioned pattern is a reversal pattern but requires confirmation in the form of a close below 12053 level. However, considering the overall trend we reiterate our view that any pullback / correction in the index should not be termed as a change of trend and must be used to create fresh long positions. On the upside 12175 – 12335 are likely to act as resistance and 12053 – 11957 are likely to act as support for the day.

Exhibit 2: Bank Nifty Hourly Chart

Actionable points:
View for the day Resistance Levels Support Levels Neutral 12175 – 12335 12053 - 11957 Source: Falcon:

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Daily Technical Report
December 04, 2012

Daily Pivot Levels for Nifty 50 Stocks
SCRIPS SENSEX NIFTY BANKNIFTY ACC AMBUJACEM ASIANPAINT AXISBANK BAJAJ-AUTO BANKBARODA BHARTIARTL BHEL BPCL CAIRN CIPLA COALINDIA DLF DRREDDY GAIL GRASIM HCLTECH HDFC HDFCBANK HEROMOTOCO HINDALCO HINDUNILVR ICICIBANK IDFC INFY ITC JINDALSTEL JPASSOCIAT KOTAKBANK LT LUPIN M&M MARUTI NTPC ONGC PNB POWERGRID RANBAXY RELIANCE RELINFRA SBIN SESAGOA SIEMENS SUNPHARMA TATAMOTORS TATAPOWER TATASTEEL TCS ULTRACEMCO WIPRO S2 19,167 5,830 11,995 1,360 204 4,267 1,297 1,901 747 324 229 338 328 405 356 208 1,807 341 3,252 641 823 674 1,790 114 531 1,083 166 2,410 292 395 94 653 1,635 573 941 1,466 157 259 769 117 492 783 479 2,159 179 665 693 268 105 384 1,298 1,970 391 S1 19,236 5,851 12,050 1,398 207 4,307 1,309 1,914 753 328 233 341 330 409 361 209 1,819 345 3,287 644 830 680 1,806 116 534 1,092 167 2,425 294 400 96 659 1,651 579 949 1,478 159 261 776 118 496 794 484 2,182 181 670 699 270 106 387 1,307 1,985 393 PIVOT 19,326 5,875 12,108 1,423 209 4,345 1,317 1,934 761 334 236 344 332 413 368 211 1,834 351 3,346 650 837 691 1,818 117 538 1,103 170 2,439 296 407 97 665 1,668 589 957 1,491 161 263 784 119 502 800 488 2,196 183 676 705 273 107 390 1,315 2,001 395 R1 19,395 5,895 12,162 1,461 212 4,385 1,330 1,947 766 337 241 347 334 417 373 212 1,846 355 3,381 654 844 697 1,833 119 541 1,113 172 2,453 298 412 99 671 1,684 595 966 1,503 162 265 791 120 507 811 493 2,218 185 681 711 276 109 394 1,324 2,016 397 R2 19,486 5,919 12,220 1,485 215 4,423 1,337 1,966 774 343 244 350 336 421 380 213 1,861 360 3,440 660 852 708 1,845 120 545 1,124 175 2,467 300 419 101 677 1,701 605 974 1,516 164 267 799 120 513 818 496 2,232 187 687 718 279 110 397 1,331 2,032 399

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Daily Technical Report
December 04, 2012
Research Team Tel: 022 - 39357800 E-mail: research@angelbroking.com Website: www.angelbroking.com

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Research Team
Shardul Kulkarni Sameet Chavan Sacchitanand Uttekar Mehul Kothari Ankur Lakhotia Head – Technicals Technical Analyst Technical Analyst Technical Analyst Technical Analyst

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